Union Budget 2024: Experts Urge Centre To Remove 18% GST On Mental Health Services
The government must remove or limit the 18 per cent Goods and Services Tax (GST) on mental health services, and allocate resources strategically to help India become a mentally resilient society, experts said on the eve of the Union Budget presentation on Monday.
Mental health is a key area of concern that can have a significant impact on the productivity and economy of the country.
"Mental health issues are highly prevalent, yet are poorly managed and are affecting a significant number of our population. In the upcoming Budget, we urge the government to remove or reduce the 18 per cent GST on mental health services," Jyoti Kapoor, Founder & Director of Manasthali Wellness, told IANS.
According to experts, with declining mental health, there has been an increase in the need for health insurance policies that cover both physical and mental health.
Unfortunately, people are not reporting these conditions as the cost of the available medications and therapies often proves challenging.
Divya Mohindroo, counselling psychologist, highlighted the need for comprehensive policies to handle India's mental health crisis and the need to increase the workforce in the sector.
"Out of an estimated 150 million people needing mental health services, only fewer than 30 million seek help," Mohindroo told IANS.
"Lack of mental health professionals is crippling in India, with merely 0.3 psychiatrists, 0.07 psychologists, and 0.07 social workers available per 100,000 people," she added.
"There should be specific measures for mental health, and we are hopeful the Budget will prioritise this urgent issue. There is an immediate need to strengthen India's mental health workforce, with just one psychiatrist per two lakh people," Mohindroo said.
She also suggested "scholarships to train professionals to help reduce this gap".
The experts also suggested incorporating mental health services into healthcare insurance coverage.
"While government centres receive some relief, private practitioners are left burdened. Extending tax benefits to private practitioners is crucial, given the high operational costs for the average therapist. In addition to acknowledging the financial difficulties experienced by private practitioners, this change would help lower the cost and increase public accessibility to mental health care," Kapoor said.
"This will help our citizens access mental healthcare without burdening them financially," added Mohindroo.
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